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Zomato AI Chatbot – Insights That Matter

  • Writer: paymentlabs
    paymentlabs
  • Jun 5
  • 3 min read

Updated: Jun 12


 Industry Context: The GenAI Personalization Wave

This project is part of a teardown series examining how leading consumer tech brands apply GenAI to deliver contextual, personalized, and business-impacting experiences.



*Hypothetical context with Zomato, utilising the AI is the new UX wave
*Hypothetical context with Zomato, utilising the AI is the new UX wave

Company

Application Area

AI Usage

Impact

Zomato

Food delivery & support

GenAI chatbot (Together AI, Firefly orchestrator)

Can "double" customer satisfaction; support cost reduction

Google

Shopping

Virtual try-ons & AI-personalized search results

Improved UX, increased conversions, reduced decision fatigue

Amazon

E-commerce

GenAI for product Q&A, summaries, personalized listings

Shorter purchase cycles, better product discovery

Meta

Social & messaging

AI agents in Messenger, WhatsApp

1:1 conversational commerce, content suggestions

Duolingo

EdTech

GPT-4 for grammar feedback and chatbot tutors

Higher retention, increased engagement

 Strategic Insight

  • AI is becoming the new UX layer. From shopping to food to education, users are being served in-context, persona-driven, and dynamically generated experiences.

What was once backend intelligence can be conversationally accessible!

  • Zomato’s implementation highlights how GenAI can be applied in a practical, secure, and user-centric way — and forms the basis of our teardown series.


 Overview

Zomato has introduced a generative AI-powered chatbot using Microsoft Azure OpenAI and Together AI's Llama models, orchestrated internally through a service called Firefly. While it currently handles food ordering and support queries, the next frontier is enabling user-specific analytics like:

  • "How much did I spend this month?"

  • "How many times did I order biryani?"

This project outlines a solution to provide secure, personalized insights to users via the chatbot without live HSM decryption, ensuring speed, privacy, and scalability.

 

Architecture and Flow

  1. User Asks a Query: "How much did I spend this month?"

  2. Firefly Identifies the Intent: Classifies it as an analytics-type request.

  3. Tokenized User ID Sent to Analytics API: No PII, only session-linked hashed ID.

  4. Analytics API Fetches Precomputed Data: From Redis or DynamoDB.

  5. Prompt Enriched: "User xyz has spent ₹2,350 and ordered biryani 5 times."

  6. LLM Generates a Friendly Response: "You've spent ₹2,350 this month. Want to reorder your favorite biryani?"

  7. Response Displayed: Through the chatbot in the Zomato app.



    ree

 

 Precomputed User Analytics Store

Field Name

Description

user_id_hash

Hashed or tokenized user ID

monthly_spend

Total amount spent this month

monthly_order_count

Number of orders this month

biryani_order_count

Number of biryani orders

most_frequent_item

e.g., “Chicken Biryani”

favorite_restaurant

Restaurant with most orders

total_order_count

All-time order count

avg_order_value

Average spend per order

loyalty_status

e.g., “Gold” or “Returning Customer”

last_order_item

Most recent dish

 

Psychological & Product Reasoning

Why Users Want It

  • Personalization builds emotional connection.

  • Budgeting convenience for students and working professionals.

  • Gamified engagement through fun stats and progress.

  • Ease of recall for frequent users (“What did I order last week?”).

Why Zomato Wants It

  • Boosts retention and engagement.

  • Creates cross-sell/upsell opportunities.

  • Provides data-driven insight into user behavior.

  • Adds a layer of AI differentiation in the market.

Why Users Might Not Want It

  • Privacy and data tracking anxiety.

  • Guilt over high spending if shown unprompted.

  • Information overload for casual users.

Why Zomato Might Not Want It

  • Infra cost for data orchestration and secure APIs.

  • Risk of hallucination by LLMs damaging trust.

  • Compliance risk under laws like India’s DPDP Act.

 

 PM Recommendation Matrix

Feature

Good For

Avoid For

Spend Recap (on request)

Budget users

Privacy-sensitive (Priya)

Favorite Dish/Frequency

Foodies

Casual users (Neha)

Gamified Tags & Badges

Loyalists

First-time users

Monthly Email Summary

Corporate users

Real-time engagement users

 

 Hook Canvas (Behavioral Design)

Element

Detail

Trigger

User sees chatbot prompt or asks about spend/order stats

Action

Clicks into chatbot and types or taps "How much did I spend?"

Variable Reward

Personalized response like "You’re in the top 5% biryani lovers"

Investment

User starts returning monthly to check stats, shares on social

Retention Loop

Continual engagement via monthly nudges and gamified feedback

 

User Persona

Persona

Use Case

Analytics Desire

Messaging Style

Ritika

Budget-conscious student

✅ Wants budget info

Supportive/opt-in

Anand

Power user foodie

✅ Loves stats

Fun, proactive

Neha

Casual explorer

❌ Not interested

None

Raj

Corporate spender

✅ Wants reports

Formal, email-based

Priya

Privacy-focused user

❌ Never

Full opt-out

 

 Go-To-Market Strategy


Phase 1: Alpha

  • Internal employees + power users

  • Monitor interaction quality, hallucination rate

Phase 2: Beta

  • Early access to top 5% users

  • Prompted via chatbot: "Want to see your foodie stats?"

Phase 3: Public

  • Feature toggle for all users (opt-in)

  • Launched via in-app banner + chatbot prompts

 

Messaging Strategy

  • Chatbot: "You've spent ₹4,800 and ordered biryani 4 times. Want to reorder?"

  • Email: "Your May food summary is ready."

  • In-App Banner: "Track your foodie journey with Zomato AI."

 

KPIs

Metric

Target

Opt-in rate

≥ 25%

Repeat analytics usage

≥ 2x/mo

Drop-off post chatbot insight

< 10%

Chat satisfaction

≥ 90%

Negative feedback

< 5%


 
 
 

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